[ad_1]
The first environmental, social and governance (ESG) bonds issued by Hyundai Mobis attracted trillion won, four times its underwriting target.
Subscriptions for the bonds, which have a credit rating of “AA +”, totaled 1.08 trillion won in a demand forecast. Initially, the company expected subscriptions to reach 250 billion won.
In the demand forecast, subscriptions amounted to 540 billion won for three-year newspapers worth 130 billion won, to 330 billion won for five-year newspapers worth 80 billion won. billion won and 201 billion won for seven-year newspapers worth 40 billion won. Seven-year papers have attracted more funds because they offer a relatively higher interest rate.
As the bond coupon rate, Hyundai Mobis proposed a band of -20bp to +20bp on the arithmetic average rate of its three-year, five-year and seven-year unsecured corporate bonds.
The bond issue is the company’s first bond sale in 11 years since June 2010. All are issued as green bonds, a type of ESG bond. Hyundai Mobis plans to raise up to 400 billion won based on the results of the demand forecast.
[ad_2]
